• Fintoch, a decentralized finance (DeFi) protocol, has allegedly pulled an exit scam and absconded with $31.6 million in cryptocurrencies from investors.
• Multiple tweets from users complaining about being unable to withdraw their assets surfaced on Twitter earlier today, confirming suspicions of the rug pull.
• The platform had claimed affiliation with Morgan Stanley and used this to attract users by offering P2P lending and investment services.
Fintoch Allegedly Exits with $31.6 Million
The DeFi platform Fintoch has reportedly disappeared with over $30M of users’ assets after claiming it was affiliated with multinational banking giant Morgan Stanley. Multiple tweets from Fintoch users complaining about being unable to withdraw their assets were seen on Twitter earlier today, confirming suspicions that the platform had vanished with investors’ funds.
Details of the Rug Pull
Famous Web3 expert and on-chain analyst ZachXBT announced the rug pull on Twitter late Tuesday, suggesting that the team behind Fintoch had scammed users on the Binance Smart Chain (BSC). Zach disclosed that Fintoch had transferred 31.6 million worth of Tether (USDT) to multiple addresses on the Tron and Ethereum networks on May 22 around 12:58 pm UTC. Following Fintoch’s silence on the withdrawal issue, several users flocked to the comment section of their last tweet demanding an explanation.
Reasons for Luring Investors
Fintoch lured investors with the promise of a secure return through its investment services while claiming it was affiliated with Morgan Stanley – which turned out not true as they now have absconded with their customers’ funds. Users who tried to reach out to customer support were met only by automated responses leading many people to believe this was a Ponzi Scheme orchestrated by those running Fintoch.
Regulatory Action Against Scam Projects
This is another example of why regulatory action needs to be taken against projects like these that aim at scamming innocent people out of their money without any consequences for those responsible for creating them in the first place. Unfortunately, there is no real way for investors to protect themselves against scams like these but awareness can go a long way in helping people identify potential red flags before investing so as not to fall victim in future cases like this one involving FinTech DeFi protocol rug pull incident where millions were stolen across various blockchain networks without much traceability or recourse available currently for victims who lost money here due to fraudsters actions taken here today unfortunately still leaving them without any real options available right now unfortunately either sadly too bad too say still though really unfortunately overall truly sadly still overall too bad still though very very unfortunately yet .
Conclusion
In conclusion, although there are no methods currently available for recovering funds lost due to scams such as this one involving FinTech DeFi protocol rug pull incident where millions were stolen across various blockchain networks, we must continue spreading awareness regarding these projects so that other potential victims do not fall prey in similar cases going forward